Members of the Houston City Council passed an amendment March 20 to provide a tax exemption for childcare facilities as soon as the 2024-25 tax year.

The gist

According to a March 20 news release, the new amendment made to Section 44-30 of the city's code of ordinances will allow qualifying childcare facilities to claim a partial or complete exemption from their property taxes.

To qualify for the exemption, childcare providers must meet certain requirements:

• Be a licensed child care facility
• Be a Texas Rising Star program participant
• At least 20% of a school's enrolled children must be in the Texas Workforce Commission's Child Care Services program

According to the Texas Workforce Commission, cities and counties can exempt anywhere from 50% to 100% of the appraised value of the property. Houston City Council approved a 100% exemption.

Notable quote

Mayor John Whitmire said the new amendment will significantly impact childcare providers and the families they serve.

“We recognize the importance of accessible and high-quality childcare services for our community,” Whitmire said. “This proposed ordinance reflects our commitment to supporting childcare facilities and ensuring that families have access to the resources they need.”

Next steps

Applications for the tax exemption are being developed. According to the release, the county has advised qualifying childcare providers to stand by for the official release, expected sometime during the last week of March.